Crypto in the World of Online Games

Crypto is definitely not new in the gaming industry. Titles like Star Atlas take advantage of Solana’s infrastructure to immerse players in a futuristic universe. As a result of such innovations, the global blockchain gaming market volume capped at $128.62 billion in 2022 and was expected to reach $614.91 billion in 2030. This is a growth of about 21.8% CAGR.

Well, if you are wondering what this Solana thing is all about, you are just in the right place. This blockchain network came to the surface in 2020 after there was such a need for a highly efficient and scalable architecture. Did you know this network can actually process more than 6500 transactions per second? And thanks to tech advancements, a Solana price indicator can now help players and investors alike make informed decisions based on market conditions.

Tokenization of In-Game Assets

If perhaps you have interacted with the popular My Neighbor Alice game, you must have encountered the ALICE token that you receive when participating in events. You can then use this token to purchase in-game assets, avatars, etc. This is an example of non-fungible tokens in online games. An NFT is a digital token showing ownership of a unique item – it could be a digital artwork, an in-game asset, etc. Their non-fungibility ensures the scarcity of digital assets, as tokens cannot be swapped on a one-to-one basis.  

A good side to NFTs is that players have real ownership of items; in the past, assets remained the essential property of the game developers. This was even after you had invested your time and money into obtaining the assets. But NFTs have brought great changes. This means that if you acquire, say, a rare sword or any other valuable item, it does not just remain as a mere digital artifact – it actually becomes an asset you can trade.

Once an asset has been tokenized, the technology verifies ownership and records the transaction. With your new tokens, you can trade by exchanging them with other players or selling them for crypto or real-world money. This shift possesses a great future for online gaming as in-game assets will not just be confined to virtual environments; it will be possible to enjoy their real-world value as well.

Examples of Games

We have already mentioned Star Atlas as an example of a game that uses blockchain technology. In this game, assets like weapons and spaceships are represented using NFTs. Plus, it has its crypto, ATLAS, which you can acquire by completing different tasks and later use to purchase in-game items. Let us take a look at other games as well.

1. Axie Infinity

Launched in 2018, Axie Infinity has made significant advances in the NFT gaming community. It is built on Ethereum and features cute creatures called Axies, which you can collect or breed. By breeding and battling Axies, you can also acquire crypto in the form of Small Love Potions (SLP). This game is particularly popular in developing countries.

2. Space Falcon

Space Falcon combines the traditional space shooter experiences with the collectability of NFTs on the Solana network. If you want to explore the nostalgic ‘80s or get ahead into futures of more than 60 years to come, this game is for you. A good side to this game is that it allows for multiple electronic wallets.

3. Genopets

Do you remember the popular Pokemon Go? You’ll find its elements here alongside CryptoKitties in an augmented reality setup. Any physical activity that you participate in qualifies you for an incentive. You can collect animals that adjust in response to your activity and manufacture objects.

What are the Potential Risks?

Playing games on different blockchains can be risky as there are chances of sending tokens to the wrong wallet. So, you always want to be sure that you are sending tokens to the right address – you might not be able to retrieve them if you send them to the wrong wallet.

Not everyone online is genuine. Therefore, keep your wallet passphrase to yourself as much as you can. And if you find games that seem too good to be true, always think twice – just as the adage goes. An unfortunate event happened in 2022 where investors lost about $550,000. A promising game, Anirand had just released NFTs before displaying any gameplay footage and contracted several Algorand influencers to market it – it was to be based on the Algorand ecosystem. Just a few months later, the creators withdrew, removing their tokens and closing their social media accounts.

Another challenge that players often have to deal with is value fluctuations, which happens especially when a game loses its popularity. Axie Infinity, for instance, had 2.7 million players as of early 2022, but the number significantly decreased to almost four hundred thousand after about a year. This saw the number of its native tokens fall from $94.33 to $9.99 within the same period.

It’s clear enough that crypto is making waves in the gaming world, and it’s not a trend that you can turn a blind eye to. As such, developers who intend to widen their reach and appeal to tech-savvy enthusiasts can integrate this technology into their products to enhance their competitiveness. And with all these changes happening, we can expect future gaming to be more engaging, taking advantage of technologies such as virtual reality and many others.

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